Legal matters are rarely “fun,” but if you focus on the benefits that you will received after the legal matter is resolved, then it can be easier to follow through with the process. This is definitely true when it comes to estate planning. No Florida resident wants to think about “death,” but focusing on how much a well-planned estate will benefit your family and beneficiaries can make the process a lot more enjoyable.
Estate planning is all about avoiding mistakes that could ruin your best laid plans for the future, and it’s an attorney’s job to help his or her clients avoid those mistakes. One common mistake when it comes to trust planning happens when an individual completely forgets to fund his or her trust. An unfunded trust means nothing, but accounts have to be retitled to be in the name of the trust in order for it to get funded. This is something that a brokerage firm or financial planner can help you with, but ultimately, your attorney should help you stay on task to complete this vital step.
Another mistake happens after creating an estate plan and letting it collect dust. Estate planning is not a static process. Estate plans must be updated from time to time. After a divorce or a death in the family, for example, it may be necessary to revise your beneficiary information and change who you plan to leave your assets to. Children and grandchildren are born. Some relatives may become unreliable alcoholics and would no longer be deemed suitable to serve as a guardian. Long story short, maintaining your trust and keeping it up-to-date is just as important as creating it.
These are just a couple of the common mistakes that Florida estate planners make, but they are reason enough to employ a professional when finalizing your estate plan. To find out more mistakes you should avoid, contact an estate planning professional to discuss your goals and needs.
Source: CNBC, “Trust bust: Steer clear of the 8 biggest estate-planning mistakes” Barry Glassman, Oct. 22, 2014
